Thursday, 27 March 2014

Another costly mistake in Barnet - the high price of outsourcing

The entire One Barnet programme has been delivered by a team of consultants and interims. I have repeatedly expressed concerns about the lack of continuity of such a team and the risks associated with leaving such important decisions in the hands of people who have no connection with the borough. The most recent manifestation of these risks is the award of approximately £650,000 to council staff due to the failure to provide information required by law when staff are made redundant or transferred to a new employers. You can read the specific details here.

Most importantly the council's advice was provided by a consultant who has now departed the council for pastures new. This mistake means that money is diverted away from essential services. Given that all reputable consultants carry a professional indemnity insurance policy to pay out when mistakes are made, I hope that Barnet will be seeking to recover the money it has had to pay out.

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